The authorities uncovered billions of dollars in wire transfers,
traveller's cheques and cash shipments through Mexican exchanges
into Wachovia accounts. Wachovia was put under immediate
investigation for failing to maintain an effective anti-money
laundering programme. Of special significance was that the period
concerned began in 2004, which coincided with the first
escalation of violence along the US-Mexico border that ignited
the current drugs war.

Criminal proceedings were brought against Wachovia, though not
against any individual, but the case never came to court. In
March 2010, Wachovia settled the biggest action brought under the
US bank secrecy act, through the US district court in Miami. Now
that the year's "deferred prosecution" has expired, the bank is
in effect in the clear. It paid federal authorities $110m in
forfeiture, for allowing transactions later proved to be
connected to drug smuggling, and incurred a $50m fine for failing
to monitor cash used to ship 22 tons of cocaine.

As The Guardian points out, this case is likely just the tip of a
massive iceberg, illustrating the key role that the international
banking sector plays in the multi-billion drug trafficking
industry.